2019-10-17 08:35:00 Thu ET
federal reserve monetary policy treasury dollar employment inflation interest rate exchange rate macrofinance recession systemic risk economic growth central bank fomc greenback forward guidance euro capital global financial cycle credit cycle yield curve
The European Central Bank expects to further reduce negative interest rates with new quantitative government bond purchases. The ECB commits to further cutting negative interest rates to -0.5%. Also, the ECB refreshes radical monetary stimulus in the form of quantitative-easing (QE) government bond purchases. In particular, the ECB plans to buy €20 billion government bonds each month from November 2019 onwards. As the ECB president Mario Draghi expects to step down in late-October 2019, this key monetary stimulus helps fulfill his landmark legacy about a decade after the global financial crisis of 2008-2009.
Moreover, this strategic move serves as a defensive response to the recent dovish interest rate reductions in the U.S. and other countries such as India, New Zealand, and Thailand. In terms of global monetary policy coordination, these interest rate cuts anchor low and stable inflation expectations and exchange rates worldwide. The ECB can successfully assuage the concern and suspicion that most French and German central bank hawks share in recent times. Yet, the persistent negative interest rates and ad hoc QE government bond purchases draw direct criticisms from UBS and Deutsche Bank. The current monetary stimulus may or may not be sustainable in the long run.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2017-03-03 05:39:00 Friday ET
As the biggest IPO since Alibaba in recent years, Snap Inc with its novel instant-messaging app SnapChat achieves $30 billion stock market capitalization.
2020-03-05 08:28:00 Thursday ET
The Stanford computer science overlords Larry Page and Sergey Brin design and develop Google as an Internet search company. Janet Lowe (2009) Google s
2018-06-07 10:36:00 Thursday ET
AT&T wins court approval to take over Time Warner with a trademark $85 billion bid despite the Trump administration prior dissent due to antitrust conce
2020-11-10 07:25:00 Tuesday ET
The McKinsey edge reflects the collective wisdom of key success principles in business management consultancy. Shu Hattori (2015) The McKins
2026-01-31 10:31:00 Saturday ET
In recent years, several central banks conduct, assess, and discuss the core lessons, rules, and challenges from their monetary policy framework rev
2021-08-01 07:26:00 Sunday ET
The Biden administration launches economic reforms in fiscal and monetary stimulus, global trade, finance, and technology. President Joe Biden proposes s